Texas Attorney General Ken Paxton has launched a legal offensive against Dallas city officials, alleging they’ve shortchanged the police department in defiance of voter wishes. The lawsuit, filed against City Manager Kimberly Bizor Tolbert and Chief Financial Officer Jack Ireland Jr., claims Dallas failed to properly fund law enforcement as mandated by voter-approved Proposition U.
The legal action contends that Dallas officials significantly under-calculated excess budget revenue that should have gone to police funding. According to Paxton, the city should have allocated $220 million but only reported about $61 million in excess revenue for the 2025-2026 fiscal year — a discrepancy of roughly $159 million.
“I filed this lawsuit to ensure that the City of Dallas fully funds law enforcement, upholds public safety, and is accountable to its constituents,” Paxton said in a statement regarding the Dallas police funding dispute.
Paxton’s Broader Legal Crusade
This isn’t the only legal battle Paxton is waging. The attorney general has also sued Global Fiberglass Solutions Incorporated for allegedly dumping thousands of wind turbines and materials illegally at two locations in Sweetwater, actions his office claims violated Texas solid waste disposal laws.
But perhaps his most high-profile recent victory came in the form of a substantial settlement involving Colony Ridge, a residential development in Liberty County northeast of Houston. The development reached a $68 million settlement with the U.S. government and Texas following civil claims filed by the Consumer Financial Protection Bureau, Department of Justice, and Paxton’s office.
What made the Colony Ridge case particularly contentious? A federal complaint alleged that approximately 91% of recorded transactions between 2017 and 2022 involved at least one Hispanic consumer, which authorities characterized as discriminatory targeting in violation of fair housing and credit opportunity laws.
“My office will continue to bring the full force of the law against anyone who threatens the safety of our state or creates a safe harbor for illegals,” Paxton stated regarding the Colony Ridge settlement.
Development Battles Beyond Paxton
Meanwhile, local governments across Texas are grappling with development challenges of their own. In Hood County, commissioners voted 3-2 to reject a proposed temporary moratorium on data center development after receiving a cautionary letter from state Senator Paul Bettencourt warning that counties lack constitutional or statutory authority to impose such restrictions.
The decision highlights the tension between local control and state authority in Texas, particularly as communities navigate the rapid expansion of data centers driven by artificial intelligence demands.
As Paxton continues his aggressive legal approach across multiple fronts, critics question whether these actions represent genuine public interest advocacy or politically motivated maneuvers. Either way, the attorney general’s office has positioned itself at the center of some of Texas’s most contentious legal and policy disputes heading into the new fiscal year.

